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Ascending Triangle Offers Continuation Trade on AUD/NZD

September 10, 2017 (Last updated on September 12, 2017) by Andriy Moraru

The current AUD/NZD uptrend is traced back to June 26. It was interrupted by just one significant consolidation before — back in late July. The current ascending triangle on the 4-hour timeframe is a classic example of such patterns with a horizontal resistance level and a well-confirmed support line.

The triangle is delimited with the yellow lines on the image below. The cyan line marks my potential entry point and is positioned at 10% of the triangle’s height (at base) above the upper border. The green line is placed at 100% of the same distance and will serve as my take-profit level. My stop-loss will be set to the low of the breakout candle or to the low of the preceding one if the breakout candle is trading mostly outside the border. I will ignore downward breakouts from this triangle as it should be a continuation pattern. You can click on the image below to see a full-size screenshot of the chart:

AUD/NZD - Ascending Triangle Pattern on 4-Hour Chart as of 2017-09-10

I have built this chart using the ChannelPattern script. You can download my MetaTrader 4 chart template for this AUD/NZD pattern. You can trade it using my free Chart Pattern Helper EA.

Update 2017-09-12: I have cancelled this trade setup because the triangle had been broken to the downside invalidating the original continuation pattern:

AUD/NZD - Ascending Triangle Pattern on 4-Hour Chart as of 2017-09-12 - Post-Cancellation Screenshot

If you have any questions or comments regarding this ascending triangle on AUD/NZD chart, please feel free to submit them via the form below.

3 Responses to “Ascending Triangle Offers Continuation Trade on AUD/NZD”

  1. Shaun

    Hi.
    Are you setting a buy stop?

    Reply

  2. Shaun

    Sorry. Buy stop AUDNZD?

    Reply

    Andriy Moraru Reply:

    Yes, I was using a buy stop for my potential entry here. I have now cancelled it because of the bearish breakout from the triangle.

    Reply

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